As a result of Bitcoin's continued rebound, the world's largest cryptocurrency is set to record its longest run of gains so far this year.
Bitcoin rose 7.5 per cent to $40900 in New York trading on Wednesday. The cryptocurrency rose for eight days in a row, the longest since December. Other cryptocurrencies, including the second-ranked etheric currency, also climbed.
Pankaj Balani, chief executive of Delta Exchange, a cryptocurrency derivatives exchange, said in a report on Tuesday that "the current momentum is strong", with $45000 in sight, but eventually breaking through $50000 "will take some effort".
Bitcoin is still well below the high of nearly $65000 reached in mid-April. But the bulls have been buoyed by recent positive comments from billionaire Elon Musk and Ark Investment Management LLC investor Cathie Wood, as well as speculation that Amazon may be involved in cryptocurrencies.
Retail investors are also starting to return cryptocurrencies, judging by the increase in bitcoin trading on major exchanges, according to reports from VandaTrack Research's Ben Onatibia and Giacomo Pierantoni.